Kroger (NYSE:KR) Hits New 12-Month High After Analyst Upgrade

The Kroger Co. (NYSE:KR)’s share price reached a new 52-week high during mid-day trading on Monday after Guggenheim raised their price target on the stock from $61.00 to $63.00. Guggenheim currently has a buy rating on the stock. Kroger traded as high as $60.41 and last traded at $60.37, with a volume of 1503183 shares traded. The stock had previously closed at $59.22.

A number of other analysts also recently issued reports on KR. Evercore ISI lifted their price target on Kroger from $62.00 to $63.00 and gave the stock an “outperform” rating in a report on Friday, September 13th. Melius Research assumed coverage on Kroger in a research report on Monday, September 23rd. They set a “hold” rating and a $55.00 target price on the stock. JPMorgan Chase & Co. upped their price target on Kroger from $58.00 to $59.00 and gave the company an “overweight” rating in a report on Friday, September 13th. BNP Paribas began coverage on shares of Kroger in a report on Friday, October 18th. They set a “neutral” rating and a $56.00 price objective on the stock. Finally, Morgan Stanley upped their target price on shares of Kroger from $57.00 to $58.00 and gave the company an “equal weight” rating in a report on Friday, September 13th. Four research analysts have rated the stock with a hold rating, eight have given a buy rating and one has given a strong buy rating to the stock. According to data from MarketBeat, Kroger currently has a consensus rating of “Moderate Buy” and an average price target of $60.27.

Insider Activity

In other news, VP Brian W. Nichols sold 6,922 shares of Kroger stock in a transaction dated Monday, October 7th. The shares were sold at an average price of $55.80, for a total value of $386,247.60. Following the sale, the vice president now owns 14,063 shares of the company’s stock, valued at $784,715.40. The trade was a 32.99 % decrease in their ownership of the stock. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which is accessible through this hyperlink. Also, VP Carin L. Fike sold 3,010 shares of the stock in a transaction dated Tuesday, September 17th. The stock was sold at an average price of $55.57, for a total transaction of $167,265.70. Following the transaction, the vice president now directly owns 47,593 shares of the company’s stock, valued at $2,644,743.01. This represents a 5.95 % decrease in their ownership of the stock. The disclosure for this sale can be found here. Over the last three months, insiders sold 12,932 shares of company stock valued at $721,243. Insiders own 1.40% of the company’s stock.

Hedge Funds Weigh In On Kroger

Several institutional investors and hedge funds have recently added to or reduced their stakes in KR. Tri Ri Asset Management Corp purchased a new stake in Kroger during the third quarter worth about $4,037,000. Synovus Financial Corp lifted its position in shares of Kroger by 3.7% during the 3rd quarter. Synovus Financial Corp now owns 10,797 shares of the company’s stock valued at $619,000 after acquiring an additional 390 shares during the period. Tidal Investments LLC boosted its stake in shares of Kroger by 1.2% during the 3rd quarter. Tidal Investments LLC now owns 59,176 shares of the company’s stock worth $3,391,000 after acquiring an additional 698 shares in the last quarter. Wilmington Savings Fund Society FSB acquired a new stake in shares of Kroger in the 3rd quarter worth approximately $95,000. Finally, World Investment Advisors LLC purchased a new position in Kroger in the 3rd quarter valued at approximately $566,000. Institutional investors and hedge funds own 80.93% of the company’s stock.

Kroger Stock Performance

The company has a quick ratio of 0.46, a current ratio of 0.87 and a debt-to-equity ratio of 0.96. The stock has a market capitalization of $43.84 billion, a price-to-earnings ratio of 15.86, a PEG ratio of 0.92 and a beta of 0.48. The firm has a fifty day moving average of $57.07 and a 200-day moving average of $54.29.

Kroger (NYSE:KR) last released its quarterly earnings data on Thursday, September 12th. The company reported $0.93 EPS for the quarter, topping the consensus estimate of $0.91 by $0.02. The business had revenue of $33.91 billion for the quarter, compared to analyst estimates of $34.09 billion. Kroger had a net margin of 1.86% and a return on equity of 28.54%. The business’s revenue for the quarter was up .2% compared to the same quarter last year. During the same period in the previous year, the firm earned $0.96 EPS. As a group, sell-side analysts anticipate that The Kroger Co. will post 4.46 EPS for the current year.

Kroger Dividend Announcement

The business also recently disclosed a quarterly dividend, which will be paid on Sunday, December 1st. Investors of record on Friday, November 15th will be given a dividend of $0.32 per share. The ex-dividend date is Friday, November 15th. This represents a $1.28 annualized dividend and a dividend yield of 2.11%. Kroger’s dividend payout ratio is currently 33.51%.

About Kroger

The Kroger Co operates as a food and drug retailer in the United States. The company operates combination food and drug stores, multi-department stores, marketplace stores, and price impact warehouses. Its combination food and drug stores offer natural food and organic sections, pharmacies, general merchandise, pet centers, fresh seafood, and organic produce; and multi-department stores provide apparel, home fashion and furnishings, outdoor living, electronics, automotive products, and toys.